South African RB2 (5500 NAR) grade coal offers have risen to INR 10,000-10,500/t levels at Gangavaram and Vizag ports amid domestic coal shortage being faced by power plants. Last trades have been heard at INR 9,500/t at these ports. Power plants in India are left with very limited stocks as domestic coal production and supply were disrupted due to heavy rains. As a result, coal supply to power plants is being prioritised over other sectors. In such a scenario, the sponge iron units would have to resort to imported coal, market participants believe.
Leave a Reply